TLC Management CEO Stuart Handler is continuing his run on suburban apartment buildings with a new pickup in downtown Arlington Heights.
Cook County property records show a venture led by Handler bought the 15-story Dunton Tower for $57.5 million from Nuveen Real Estate at the end of September. A Nuveen predecessor firm, Henderson Global Investors, paid $40 million for the building in 2012.
Handler told Crain’s that the 216-unit building is “well-located” due to its proximity to the Metra train station and the expanded restaurant and nightlife offerings in downtown Arlington Heights.
Cook County Assessor Fritz Kaegi valued Dunton Tower at $39.2 million this year, nearly double its prior value of $20.8 million in 2018, but still significantly lower than what Handler paid for it. Handler is appealing the assessment because Kaegi’s calculation doesn’t factor in the inevitable large property tax increase that will reduce the building’s value, he told Crain’s.
The average unit in Dunton Tower rents for $1,709 a month, with monthly rents ranging from $1,425 for a studio apartment to $2,050 for a two-bedroom unit, according to data from CoStar Group.
Handler plans to put more than $2 million into renovations.
His firm TLC Management bought a 250-unit rental townhome development in St. Charles for $71 million in May.
[Crain’s] — Brianna Kelly